The commencement of Nigeria's new tax law on January 1, 2026, has been met with a mix of anxiety and misinformation. However, a firsthand account from a young Nigerian is helping to clarify the situation for many.
A Real-World Test with a N1 Million Transfer
Amidst widespread rumours of unexpected bank deductions and charges on transactions, a social media user known as @olopzeze decided to put the new system to the test. On the very day the law took effect, he conducted transactions totalling over one million Naira across his bank accounts.
Sharing a screenshot of his experience on his social media page, his findings directly countered the alarming claims circulating online. He reported that there were no extra charges or taxes deducted from his large transfer. The only fee applied was the standard 50 Naira stamp duty on the money he sent out. Furthermore, he confirmed that a sum of 400,000 Naira he received was not debited at all.
Clarifying Misinformation and Public Reaction
In his post, @olopzeze explicitly called out the spread of false information, stating: "No extra Tax like Banger boys and Una hungry influencers claimed. Wetin misinformation go cause for this Naija en." His post sparked significant discussion, highlighting the public's confusion and need for clarity.
The reactions were varied. User @wisdomthefunds expressed ongoing confusion about who the tax affects, questioning if it applied to non-salary transactions. Others, like @laide0 and @toyosialliowe, pointed out the misconceptions, with the latter explaining the 800,000 Naira annual threshold and progressive nature of the tax. Another user, @kenjith3creator, correctly noted that the tax is a cumulative calculation handled during annual filing, not a per-transaction deduction.
Official Explanations and Lingering Concerns
This public test comes after Mr. Taiwo Oyedele, the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, released a video explaining the intricacies of the new law. His efforts aim to demystify the policy for citizens.
Despite these clarifications, apprehension persists. As previously reported, some Nigerians remain skeptical about the benefits of paying taxes, while others are worried about potential large deductions in the future after reviewing their 2025 bank statements. The experience shared by @olopzeze provides a crucial, real-time data point that helps separate fact from fiction as the nation adjusts to the new fiscal policy.
